Pakistan’s current economic situation and real estate market forecasting

In the Pakistani Market, people are experiencing ups and downs. The same thing happens with real estate market during the past few years. More focusedly, it can be said that people who have invested in real estate have experienced losses during the past few years. Usually, businesses are linked to stability of the country. However, recently some changes have been made in the country.

During the years from 2020 to 2022, real estate market experienced a good boom. People purchased many properties leading to an increase in the rates of properties. For instance, people have also earned up to 100% to 150% profits. However, after that country’s condition worsened and economic went down.

During 2022, banks started increasing their interest rates, and by the mid of 2023, interest rates went to about 21%. This change in interest rates lead to the placement of money in banks by investors after taking money out of all other investment options. This placement of money in banks also resulted in an increase in banks’ businesses during the past two to three years. The interest rate, by the end of 2024, would go to 14% to 13%. Similarly, government bonds have also seen a decline in percentage.

Nevertheless, in Pakistan, it has been predicted that its economy would grow by about 3.2% in fiscal year 2025 (FY25) that is an increase from 2.4% last year. Some foreign investors have also started sending money to Pakistan.

All these aspects would lead to the movement of money from banks to economy and in different businesses. Similarly, big companies and corporates would also take their money from banks and put in different businesses.

Money would either go to Stock Market, but this market has also crossed its all time high, or to the real estate. In the case of real estate, people from overseas have also started showing their interest. So, this can be one of the best times to purchase property.

Source:
Takhleeq - Real Estate Market Update: Latest News & Impact | Takhleeq - https://www.youtube.com/watch?v=nz2YmkYo2tc